Is LIBA going to urge city to drop federal arena assistance?
I’m hearing LIBA (the Lincoln Independent Business Association) is concerned about the strings attached to the federally subsidized bonds the city is using to help finance part of the arena project. According to my source, since the city is using federal Build America Bonds, contractors will have to pay “prevailing local wages” on the job, which this person says will add millions to the cost of the project — perhaps more than the city will save by getting the low-interest financing.
For example, a sheet metal worker would have to be paid at least $26.17 an hour plus $12.52 in benefits, according to the federal Davis-Bacon requirements for this area.
I was told LIBA might bring this up at the JPA meeting on Thursday, but they didn’t.